What Happened? The lender and consumers reached a settlement in an appraisal bias case, Nathan Connolly and Shani Mott v. Shane Lanham, 20/20 Valuations, LLC, and loanDepot.com, LLC, filed in Maryland District Court, that gained the attention of the CFPB and DOJ. While some of the terms in the settlement are already industry standard, there appear to be some newer obligations that could be a template for other lenders to follow. Why it Matters? The settlement is important – both for … [Continue reading] about Appraisal Bias Settlement: Potential Roadmap
FHA and VA Announce New Loss Mitigation Options
What Happened? Both the FHA and VA have established new loss mitigation options to provide payment reduction to delinquent borrowers. On February 21, 2024, the Federal Housing Administration (“FHA”) within the U.S. Department of Housing and Urban … [Continue reading] about FHA and VA Announce New Loss Mitigation Options
CFPB Issues Credit Card Penalty Fee Final Rule, Reduces Late Fees to $8
What Happened? On March 5, 2024, the Consumer Financial Protection Bureau (“CFPB”) issued the Credit Card Penalty Fees Final Rule (“Final Rule”), which reduces the safe harbor for the maximum late fee that large credit card issuers may charge to … [Continue reading] about CFPB Issues Credit Card Penalty Fee Final Rule, Reduces Late Fees to $8
Fannie Mae Issues Guidance in Response to New York Foreclosure Abuse Prevention Act
What Happened? On March 13, 2024, Fannie Mae issued Servicing Guide Announcement (SVC-2024-02) (the “Announcement”), which announced, among other things, updates to Fannie Mae’s Loan Modification Agreement (Form 3179), with additional instructions … [Continue reading] about Fannie Mae Issues Guidance in Response to New York Foreclosure Abuse Prevention Act
CFPB’s War on Mortgage Fees Continues
What Happened? Immediately following President Biden’s State of the Union Address announcing plans to lower homebuyer and refinancing costs, the CFPB issued a blog post seeking public input on how mortgage closing costs impact consumers. The CFPB … [Continue reading] about CFPB’s War on Mortgage Fees Continues